Arab Bank Group's H1 profit surges 25pc to $503m
AMMAN, July 27, 2024
Arab Bank Group has delivered a solid performance for the first half of 2024, with 25% increase in its net income after tax reaching $503 million when compared to $401 million last year. The group also maintained its strong capital base with a total equity of $11.5 billion.
Announcing the results for the six-month period ended June 30, 2024, Arab Bank said its net assets grew by 5% to hit $68.7 billion and at constant currency, the group’s loans surged by 8% to reach $38.1 billion, and deposits grew by 6% to reach $50.5 billion.
On the solid performance, Sabih Masri, Chairman of the Board of Directors, said the solid financial performance during the first six months underscores the successful execution of the bank’s prudent risk practices, diversified business model and its focus on core banking activities.
Masri emphasized on the Group’s ability to continue achieving robust performance which reinforces its leading position in the market.
CEO Randa Sadik said the strong financial results reflect the bank’s robust assets base and strong capitalization.
She highlighted that the bank’s net operating profit grew by 11% driven by core banking activities coupled with controlled operating expenses. The bank continues to implement its digital strategy, expanding the offering of innovative digital solutions across its various business segments.
Sadik pointed out that the bank’s balance sheet strength, solid capitalization, and high liquidity levels have all put it in a comfortable position for sustainable growth.
Arab Bank’s loan-to-deposit ratio stood at 75.4% and credit provisions held against non-performing loans continue to exceed 100%, said the top official.
Arab Bank Group maintains a strong capital base that is predominantly composed of common equity with a capital adequacy ratio of 17.5%, she added.
